Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1887-09-27
SOUTHERN PACIFIC RAILROAD
Annual Report Showing Earnings, LOSSES,
Results of Rate War, etc.

Results of Rate War, etc.
Isan Francisco Call.
The annual report of the Board of Direct
urs OF the Southern Pacific Railroad CON-
pany has just been issued. 1t shows the
operations for the year ending December
81, 1886, and contains some very interest
ing figures and statements of earnings.
The Southern Pacific RailroSd Company,
as distinguished from the Southern Pacific
of Kentucky, the report 'of which was
spoken of at length lately, includes the
system known as the Northern Division,
running from San Francisco to Tres Pinos,
also from Carnadero to San Miguel. 1t
also includes the lines running from Huron
via Goshen TO the Colorado river, the Los
Angeles and San Pedro line, and also the
Mojsve-Needles line, now leased to the
including leased lines, is 1,071. 80, of which
so miles are operated by the Southern
Pacific Company and 242 by the Atlantic
and Pacific. The report is given by the
President of the company, Charles Croker.
He goes on to state that the reports of oper-
atoms furnished by the Southern Pacific
Company lessees show steady increase in
the business.
EARNINGS AND EXPENSES.
The earnings are as follows: For 1856
Gross earnings Northern Division, 81 .649,-
S24S3; less operating expenses, $685., $50 SO;
balance, SS11 ,965 gross earnings Southern
Division, 1924, 13l 40 T.; less operating ex-
penses, 81, ,l57 10; balance, $685.
974 %; earnings over operating expenses,
81, S79939 80.
For 1Ss5-Gross earnings Northern Di-
vision, 81 Isl 1872 SO; less operating ex-
penses, 1878, 9l2 81 balance, $5i2, $50 Is :;
gross earnings Southern Division, So 49,
743 81; less operating expenses, 81 ,z21.-
sid Al balance, $l.4l0,22 %. Earnings
over operating expenses, 81 ,953, 07S 6S.
1t will be observed" continues the re-
port, " that the earnings of the Northern
Division show an increase over those of
the previous year of upward of % per cent,
| while the earnings of the Southern DiVis-
ion, owing to its participation in the trans
continental rate war, which was in force
the greater part of the year, show but a
little increase for the Large volume of
traffic over this line during that period.
BY the terms of the lease of March /, 1885,
the Southern Pacific, lessee, is required to
| pay the interest on the bonded indebted.
ness OF this company, the current taxes
| upon its road, and the cost of all additions.
| During the last year the disbursements
| made by the lessee for these accounts have
absorbed the excess of earnings above
shown. The receipts above given are ex-
elusive of the rental of the Colorado Di-
| vision under lease to the Atlantic and Pa
clfic Railroad Company, from which 1885,
266 is received"
| ASSETS AND LIABILITIES.
The capital stock of the company is 500
600, of which S45 ,944, 500 has been paid
in. The Indebtedness is as follows: Funded
| debt, as per statement No. 8, $33, 303 600;
trustees of mortgage, $340, $50 90; reserve,
| for nov of TO ir,li
| bills and accounts payable, $50, OF o. total
| indebtedness, $50, T49, 927 3S. The total
assets OF the company including railroads,
| telegraph lines, rolling stock and equip
| ments and an undivided half interest in
sixty acres of land in Mission sBay. $685.
537,373 06. The above estimate does not
include the value of lands owned by the
| company. The Land Office business for
| the year far exceeded that of any previous
year, the sales reaching upward of l.
| 100000 acres. During the year, sixty-five
| and half miles of new road were built
and Sl,9O0,000 of bonds issued. Bonds to
the amount OF SSH, eco were redeemed
from proceeds of land sales, and $40, 600
! ;mained in the hands of the trustees for
t Irther redemption of bonds. The report
C includes as follows:
Notwithst inding a large increase in bust
| ness, the continued rivalry of competing
transcontinental lines has caused consid-
cradle loss of revenue to the company from
the extremely low rates which have been
necessarily adopted, coupled with an in
crease in operating expenses consequent
upon the large volume of traffic. Yet, as
there seldom is a loss without gain, the
Southern Pacific has the satisfaction of
knowing not only that it has maintained
its position in the contest for transconti-
mental traffic, but that it will hereafter reap
the benefits to accrue from the great num-
Der of people who have been pouring into
our State the last year through the prevail
ing low rates of fare. Many of these new
arrivals have come with the intention of
| remaining permanently in the State and
with capital, intelligence and enterprise
will, doubtless, establish themselves in the
many industries open to them, and SO con-
tribute to the development of new business
to the ultimate benefit of our road
THE most obstinate cases of dyspepsia
are cured by Hoods Sarsaparilla. This
medicine tones the stomach, promotes
healthy digestion, creates an appetite and
relieves headache. Give it a trial